Tom Tessin asked:




The Average American holds seven credit cards in their wallet at any given time, and one out of every seven Americans has 10 credit cards! The credit card debt in America has been steadily rising over the last decade.

Some studies have shown over 70 percent of consumers use cards for most purchases! This produces results like VISA being held accountable for over 830 billion dollars of charges for the year of 2008. Americans are looking for ways to lower their credit debt or eliminate their credit card debt, without adding any additional debt (loans).

The most radical way to reduce credit debt is by cutting up your cards! Cut up cards, do not sign up for new ones, and pay with cash. When you pay with cash, the money must physically be in your hands to make a purchase; therefore you’re less likely to impulse buy, or to purchase unnecessary items. If getting rid of your credit card isn’t an option, or you would like to keep one for emergencies only, try a debit card instead.

Debit cards are useful because they withdraw electronically from your bank account. It’s a good way to keep from spending money you don’t have, but on the other hand you can’t physically see all the money you could be spending, so impulse buying is still likely.

The best way to lower your debt is to be aware of your surroundings and your financial situation. Try making a budget with a free online budget planner, or write your plan down. You can cut out monthly expenses and the average American could save 300 dollars a month just by planning a budget. Not only will you lower your debt by being aware of financial income and expenses and knowing what you can and cannot spend, you will also be able to use the extra money you saved toward paying off your credit debt!

Braylon